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US considers empowering Google and Microsoft to regulate glo...
19-12-2024 15:42
US considers empowering Google and Microsoft to regulate global access to AI chips
US considers empowering Google and Microsoft to regulate global access to AI chips

Major changes are underway in the United States, with the government preparing to introduce new export regulations for AI chips. Under these new guidelines, tech giants will gain control over vast sectors, transforming the entire landscape.

The new rules will empower tech companies, such as Google (Alphabet) and Microsoft, to control the global distribution of AI chips. These companies will be able to offer AI services through their cloud platforms overseas. Notably, this activity will not require a license, as long as strict reporting standards are met. The aim is to block Chinese organizations from accessing AI chips, preventing them from exploiting these technologies.

This initiative is part of the Biden administration's broader plan to regulate the export of AI chips, ensuring they are not acquired by organizations that pose a national security risk. The US government is particularly concerned that China could use AI technology to enhance its military capabilities and conduct cyberattacks.

The US Department of Commerce has yet to comment on the specifics of the new rules, and neither Google nor Microsoft have responded to inquiries about the initiative.

Under the proposed scheme, companies that do not have a controller status can apply for licenses to import a limited number of innovative AI chips from manufacturers, such as Nvidia and AMD. The new system would allow 19 countries, including the Netherlands, Japan, and Taiwan, to have unlimited access to AI chips and their capabilities. However, countries under nuclear embargoes, such as Russia, China, Iran, and Venezuela, will be prohibited from receiving US AI semiconductors.

According to experts, these new regulations expand on the existing program that permits approved international data centers to receive AI chips without the need for a license. To achieve this status, data centers will be required to provide extensive details about their operations, including customer data, business activities, access controls, and cybersecurity measures.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

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